Borrowing more for home improvements and increase value of house

advice_please_2

Say for example current house bought for £300k this year, £150k mortgage so 50% LTV

Say borrow an extra £30k for home improvements ie new kitchen, bathrooms etc. so Total borrowing £180k therefore 60% LTV

Say as an example you get the house revalued (not sure who by, mortgage lender or estate agents or surveryors) the is valued more lets say its valued £330k, therefore if a new mortgage was arranged it would be 55% LTV, can one do this and so reapply and get lower rate mortgage?

onlyroz

It is unlikely that £30k spent on home improvements will increase the property value by £30k.

dimbo61

If you are at 50% LTV then you have got plenty of equity in the property.
You should if you pass the" affordability checks " be able to borrow the extra to do the improvements.
Will a new kitchen/bathroom add £30K is a very different question

advice_please_2

Thanks for the replies
I was just trying to keep things easy to calculate

Let's say it added a third so at £10k from £300 to £310k

Question is:
- who revalues home
- and if values at £310k LTV would be 58% which could bring back better lending rates?